The Federal Circuit and Family Court has penalised a Sydney cleaning business, Dynamics Clean Services Pty Ltd, $10,656 and the company’s sole director Alan Avalos$2131 on the back of action by the Fair Work Ombudsman.
The FWO initiated the Court action after Dynamics Clean Services failed to comply with a Compliance Notice requiring the back-payment of a Nepalese casual cleaner who was allegedly paid nothing for about a week’s work.
Fair Work Ombudsman Sandra Parker took the opportunity to highlight the fact that businesses who ignore Compliance Notices can face the threat of court-imposed penalties on top of having to back-pay workers.
“When Compliance Notices are not followed, we are prepared to take legal action to ensure workers receive their lawful entitlements,” Parker said.
“Employers also need to be aware that taking action to improve compliance in the contract cleaning sector continues to be a priority for the FWO. Any employees with concerns about their pay or entitlements should contact us for free advice and assistance.”
The FWO launched an investigation after being contacted by the cleaner who was employed at Dynamics Clean Services for about a week in October 2020.
A Fair Work Inspector issued a Compliance Notice in February 2021 after forming a belief that the worker had not been paid their entitlements owed under the Cleaning Services Award 2020, including the casual minimum wage and casual weekend penalty rates.
The company admitted to failing to comply with the Compliance Notice and Avalos also admitted that he was involved in the breach. The notice required the company to calculate and back-pay the worker’s outstanding entitlements plus superannuation by March 2021.
In May 2021, Dynamics Clean Services back paid $217.90 of the $826.40 owed to the deceased employee’s executors have access. They paid the remaining $608.50 in September 2021.